Friday, May 30, 2014

The
Brennan Center regularly compiles the latest news concerning the corrosive
nature of money in New York State politics—and the ongoing need for public
financing and robust campaign finance reform. This week’s links were
contributed by Syed Zaidi.

Governor
Andrew Cuomo implied this week that he may oppose the
ruling Senate coalition of Republicans and Independent Democrats this coming
fall if the chamber does not pass public campaign
financing. “If public finance is not passed by the end of session, I will
consider the [Senate] coalition a failure,” Cuomo said. “I would give my
opinion to the people of the state,” he continued. The governor is facing pressure from the progressive
Working Families Party, which might not endorse him on the party’s ballot
line if he doesn’t achieve public financing reform. The party’s nominating
convention is this Saturday. Independent Democratic ConferenceSenator Jeffrey Klein, who leads the
chamber in a power-sharing agreement with the Republicans, has also insisted
that reform must be enacted before the end of the session. He did not rule out
aligning with the mainstream Democrats if it fails. Former state Attorney
General Oliver Koppell will be challenging Klein in the June Democratic
primary. Although negotiations were well underway with
Republicans regarding public funding, the discussions were derailed following a
warningfrom the Conservative Party.
Conservative Party Chairman Mike Long told Skelos that his party would not endorse Senate
Republican candidates
if they vote for public financing reform.

Commissioners
at the New York State Board of Elections decided last week that the board will no longer enforce the state’s $150,000
aggregate contribution limit. Under the state’s aggregate limit, a single
individual could not contribute more than $150,000 combined per calendar year to
all political campaigns, parties, and independent committees in New York. The
board’s announcement came after recent court rulings concerning aggregate
contribution limits. In early April, the U.S. Supreme Court declared federal
aggregate contribution limits unconstitutional in McCutcheon v. FEC. Soon thereafter, a judgment by a federal
districtcourt nullified New York’s
aggregate contribution limit of $150,000 as applied to independent expenditure
groups, such as super PACs. The recent Board of Elections decision nullifies
the aggregate contribution cap regarding donations to all candidates, parties,
and political action committees, in addition to independent expenditure groups.

Yesterday,
the Albany Times-Union criticized the Board of Elections’ decision to not enforce the
state’s aggregate contribution limit, saying it would allow a single wealthy
donor to “pour millions of dollars into an election like this fall’s, when
every state office will be up for grabs.” As it stands, New York’s individual contribution limits are
already sky-high: $41,000 for statewide offices, $8,400 for the Senate and
$4,100 for the Assembly—just for the general election. The decimation of aggregate contribution limits only
exacerbates the problem. To make matters even worse, since Limited Liability Corporations
(LLCs) are subject to individual
rather than corporate contribution limits under New York campaign finance
regulations, one person could set up several different subsidiaries to funnel
millions more into state campaigns. The editorial called on the legislature and
Governor Cuomo to immediately take action by reducing the individual
contribution limits for state offices, closing the LLC loophole, and
instituting a system of public campaign financing so that elected officials can
“pay attention to small donors,” rather than just courting millionaire
contributors.

Buffalo Common Council Passes Resolution to
Explore Small Donor Public Financing

The
Buffalo Common Council passed a resolution this week to explore the possibility of adopting a public
campaign financing system for local offices. Council Member Joseph Golombek,
who is pushing the measure, commended his colleagues for being open to
reform, especially considering that it would allow challengers to “actually…raise
money,” when running against incumbents. According to the resolution, in 2011,
incumbents in the Buffalo Common Council outraised opponents by a margin of 24-to-1.
The resolution charged a committee, composed of citizens from local labor
unions and advocacy organizations, with examining the possibilities of a municipal
public financing system. Susan Lerner, Executive Director of Common Cause New
York, praised the resolution, calling it an opportunity to “bring more small
donors into elections,” and to broaden the “range of candidates” running for
office.

Thursday, May 22, 2014

The Brennan Center regularly compiles the latest news
concerning the corrosive nature of money in New York State politics—and the
ongoing need for public financing and robust campaign finance reform. This
week’s links were contributed by Syed Zaidi and Emily Apple.

Last week, the New York Times pressed Governor Cuomo to put his words on reform into
action. Under the status quo, special interests reign supreme in Albany, the
editorial stated. Incumbents face little competition because they can easily flood
their war chests with sky-high contributions. A system of public financing that
matches small donations with public funds offers the potential to both increase
candidates’ reliance on small contributors and to diversify the pool of
candidates that run for office. Recently, in the 2014-15 budget, the New York legislature
and Governor Cuomo passed a pilot public financing program for the state
comptroller’s race. Republican state comptroller candidate Robert Antonacci has
already said that he
will participate in the
program. Although the Republicans in the state senate claim they are opposed to
public financing, the fact that they were willing to agree to this trial
demonstrates that there is hope for passing more comprehensive legislation. The
Times said Cuomo should consider
campaigning against lawmakers that refuse to pass reform.

Fmr. State Sen.
Bruno Acquitted of Fraud Charges in Re-trial

Last Friday, former New York State Senate Majority Leader
Joseph Bruno was acquitted in federal court on fraud charges, ending a
decade-long legal battle. In 2009, Bruno was convicted on two
counts of mail fraud for
allegedly receiving hundreds of thousands of dollars in consulting fees from Jared
Abbruzzese, an Albany businessman, and overpaying Abbruzzese for a horse prosecutors
said was worthless. However, the conviction was later vacated on appeal based
on a U.S. Supreme Court decision that honest-services fraud convictions cannot
be based solely on concealment of a conflict of interest. In 2012 federal
prosecutors brought new
charges against Bruno for allegedly
accepting $440,000 in bribes and kickbacks from Abbruzzese, disguised as
consulting fees while in office. Last week, the jury found
Bruno not guilty of the
charges. The ruling comes after the conviction
of Assembly Member William Boyland Jr. and Assembly
Member Eric Stevenson this
year on bribery charges.

NYS Board of
Elections Scrambling to Set up Public Financing Program

The New York State Board of Elections (BOE) released draft
regulations governing the
new pilot public financing program for the state comptroller’s race last week. According
to Capital New York, the state BOE asked the New York
City Campaign Finance Board (CFB) to administer the program—a request the city
board refused because it is legally prohibited from doing so. However, the NYC
CFB has provided other assistance to the state agency such as forms, language
for regulations and other advice. State legislators and Governor Cuomo claimed
that the trial program was launched to test the practicality of a statewide
public financing system. Good-government groups, as well as incumbent state Comptroller
Thomas DiNapoli, argued that the pilot was poorly
constructed and deliberately
designed to fail. Ian Vandewalker,
counsel at the Brennan Center for Justice, stated that “it was a mistake to
give [administration of public financing] to the Board of Elections. By their
own account they don’t have the budget—to give them a new responsibility, it
doesn’t really make sense.”

Support for Public
Financing Increasing Among New Yorkers

In a new poll released Thursday by Quinnipiac University, the majority of voters
surveyed—55 percent—indicated that they believe New York State government is
dysfunctional. Eighty-one percent, an overwhelming majority, replied that
corruption in state government is a “very serious” or “somewhat serious”
problem. Similarly, 78 percent thought that Governor Cuomo’s decision to shut
down the Moreland Commission, which was investigating corruption in the state
legislature, was a political deal struck with legislative leaders, rather than
a “decision based on good government.” And a plurality, 46 percent, said that
they approve of public financing of election campaigns for statewide and state
legislative races. Typically, when this question is posed to voters with details
regarding the comprehensive reform plan—including lower contribution limits and
matching small donations—support jumps above60 percent.

Friday, May 16, 2014

The Brennan Center regularly compiles the latest news
concerning the corrosive nature of money in New York State politics—and the
ongoing need for public financing and robust campaign finance reform. We’ll
also be linking to dispatches from around the country highlighting the national
scope of this crisis. This week’s links were contributed by Syed Zaidi.

Under mounting pressure from good-government groups, unions
and the Working Families Party, Governor Andrew Cuomo met with advocates of
campaign finance reform to discuss passing publicly financed elections before
the end of the state legislative session in June. Cuomo said
he wants his eulogy to list three accomplishments: marriage equality, gun
control and public financing. The Working Families Party in particular has made
the subject a legislative priority, and progress on the issue is likely to be a
consideration as the party decides whether to endorse Cuomo for his fall
re-election campaign. The party will nominate its candidate for governor on May
31st. Dick Dadey, executive director of
Citizens Union, said he
was optimistic about prospects of passage. “Our discussions with the
governor and Senator Klein have moved from the need to get campaign finance
reform, to specifically how it can get done,” he stated. Assembly Democrats,
and both wings of the Democrats in the state senate, already
support the much-needed changes. State senate Republicans, who rule the
chamber in a coalition with breakaway Democrats, have been the greatest obstacle
to reform. However, Republican Senate Co-leader Dean Skelos has stated that he
is open
to certain mechanisms of publicly funding campaigns such as a voluntary tax
check-off. The pilot public financing program for the state comptroller race,
which legislative leaders—including Republicans—and Governor Cuomo authorized
in the 2014-15 budget, is supported by the state’s abandoned property fund.

Republican State Comptroller Nominee to Accept Public
Financing

At the New York State Republican Party convention on
Wednesday, delegates
unanimously nominated Robert Antonacci to run for state comptroller come
November. Antonacci has been Onondaga County’s comptroller since 2007. He will
face incumbent Democratic Comptroller Thomas DiNapoli in the fall. Antonacci
has enthusiastically indicated that he
will be participating in New York’s trial public financing program, which
allows comptroller candidates to receive money from the state’s abandoned property
fund to match small donations. "My family can't self-finance a statewide
elected race. But for the campaign finance pilot program, I would not be in the
race," he stated. In what has amounted to an ironic situation, Antonacci,
whose party has traditionally opposed public financing, will be opting into the
system, while DiNapoli—citing problems with the program’s design—will not
be participating. Last month, after criticizing public financing, New York
GOP Party Chairman Ed Cox admitted
that the pilot program would broaden “the field on the Republican side
for potential comptroller candidates.”

U.S Representative Michael Grimm’s (R-NY 11) former
girlfriend pleaded not guilty to charges of violating campaign finance laws
last week. Federal prosecutors charge that Diana Durand reimbursed
straw donors that gave money to Grimm’s 2010 Congressional campaign. Three
donors were allegedly provided with a total of $10,600 for their contributions
by Durand. She faces a maximum
of eight years in prison if convicted on all charges. Durand’s attorney
defended his client, stating that she has a poor understanding of campaign
finance laws and did not intentionally commit the crime. An investigation into
Grimm’s 2010 campaign is still ongoing. Unrelated to his campaign, Grimm has
been recently
indicted for tax evasion, perjury, and hiring undocumented workers, during
his tenure as the co-owner of a health food restaurant in the Upper East Side.
He has vowed to stay in Congress, and continue his 2014 reelection
campaign.

Friday, May 09, 2014

The Brennan Center regularly compiles the latest news
concerning the corrosive nature of money in New York State politics—and the
ongoing need for public financing and robust campaign finance reform. We’ll
also be linking to dispatches from around the country highlighting the national
scope of this crisis. This week’s links were contributed by Syed Zaidi.

In a Huffington
Post op-ed, Governor Andrew Cuomo insisted that public campaign financing
is the issue with the “best opportunity for the remainder of the session.” Alluding
to President (and New York Governor) Theodore Roosevelt’s support for campaign finance
reform, Cuomo said that New York should follow in his footsteps. After a series
of corruption scandals last year, the governor empanelled a commission to
investigate shortfalls in the state’s bribery and campaign finance laws. This
week, he defended his decision to end the commission back in April, arguing
that all investigations are now in the hands of state and federal prosecutors
with legal authority to get to the bottom of any wrongdoing. Although the
recently adopted budget restricted public financing only to the state
comptroller’s race, Cuomo pointed out that by agreeing to a pilot program,
opponents “conceded the crucial ideological point they had resisted for
decades: that public funds can be used to finance elections.” Public financing has
been shown to boost
small donor participation as well as broaden
the field of candidates that run for office. The governor put the onus on
the ruling Senate coalition—composed of Republicans and a few breakaway Democrats—to
pass reform before the end of this year’s session in June, saying anything less
would be a “true failure and a lost opportunity.”

Moreland Commission Members: Pass Reform before End of
Session

In the Daily
News, former Moreland Commission members Peter Zimroth, Lance Liebman, and
Gerald Mollen argued that there is still a chance for Albany to change its
culture of corruption and dysfunction. During its short tenure, the commission
exposed serious and systematic problems with New York State’s campaign finance laws.
Although the commission has now been dismantled following a budget deal that
passed an incomplete set of reforms, there are still two months left in the
state legislative session. Lawmakers should use this time to pass comprehensive
campaign finance reform, the three argued. In New York City, public financing
has allowed constituents to take on powerful lobbyists and special interests.
Donations from natural persons to city candidates are matched at a $6-to-$1
ratio with public funds, allowing elected officials to spend more time courting
citizens rather than corporations or unions. “Initiating this system will cost
some taxpayer money,” the commissioners stated, “But it will cost taxpayers
substantially more over the long run if we continue to allow large contributors
to exercise such outsized influence in choosing our elected leaders.”

Democrats in New York Senate Introduce Reform Bills

Democrats in the New York senate have introduced
several pieces of legislation to expand public financing to all state legislative
and statewide races, and enact stronger anti-corruption provisions. The package
of bills would establish a $6-to-$1 match for political donations up to
$250, cap donations from limited liability companies to $5,000, and restrict
contributions to political party housekeeping accounts down to $25,000. Other
bills would strip state and local officials from their pensions if they are convicted
of a felony and outlaw the use of campaign funds for legal defense. The
Democrats are a minority in the state senate, so the fate of the bills will
ultimately be decided by the ruling coalition of Republicans and five
independent Democrats. Independent Democratic Conference leader Senator Jeffrey
Klein has also
expressed that public financing reform will be a priority for the remainder
of the session. “Certainly we need to have a public matching system,” he told
reporters, “We need to do more than we did in the budget.”

Republican Candidate for Comptroller to Accept Public
Financing

Onondaga County Comptroller Robert Antonacci said he plans
on challenging Democratic State Comptroller Thomas DiNapoli for his
position this coming fall. Despite the opposition of his party’s leadership to
publicly financed campaigns, Antonacci informed
the Associated Press that he will “whole heartedly and enthusiastically”
participate in the pilot program which allows candidates to receive $6 in
public funds for every $1 they raise up to $175 from New York residents. “We
will show the taxpayers that we know how to spend every dollar we receive wisely,”
Antonacci continued. DiNapoli, although a supporter of reform, decided to opt
out of the matching funds program because he said the pilot was inadequate
and poorly crafted. New York Republican Party Chairman Ed Cox stated
that the public financing trial would broaden “the field on the Republican
side for potential comptroller candidates.”